#Commodities Back In Play as Investors Get Ready for Next Boom

“It’s highly probable that a great many investors will look back on 2020 and wonder how they missed these signs of a new commodity bull market.”

• Prices have surged to highest in more than six years

• Inflation fears are drawing investors back to resources sector

For the best part of a decade, commodities have been deeply out of fashion. Now, as investors scour the market for the great reflation play, they’re hot again.

Investing luminaries from Point72 to Pimco are calling for commodity prices to move higher. Goldman Sachs Group Inc., the bellwether of Wall Street, is predicting a new commodity bull market to rival the China-driven boom of the 2000s and the oil price spikes of the 1970s.

“We very much believe that the fundamentals are now in place for a new, structural, bull market to begin,” said Robert Howell, senior research strategist at Gresham Investment Management LLC, the commodities-focused unit of Nuveen with $5.8 billion in assets in the sector. “In the years to come, it’s highly probable that a great many investors will look back on 2020 and wonder how they missed these signs of a new commodity bull market.” 

See the whole story on Bloomberg here: Commodities Are Back In Fashion as Investors Get Ready for Boom

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